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Correct. Though I thought they were fixing that. Don't worry you're not missing anything. Stick with Calibre. The Kobo software has never worked for me. It's pretty useless.
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I'm just wondering how I will get the firmware upgrade? Because i just checked out the Borders app (essentially Kobos) and it is the same situation.
Maybe I need to bite the bullet and upgrade my operating system.
*sigh*